Mortgages
There are many types of mortgages available ranging from residential to overseas mortgages including buy to let, self certification and commercial.
Here is a brief description of some of the mortgage types (click to view):
The Buy to Let market has for many years been very popular due to continuous rising house prices. The professional and first time landlord who have entered this arena in order to provide them with an income in later years similar to a pensionable income will have opted for the traditional capital and interest repayment mortgage, this way they can feed the rental income in to the loan with a view to reducing the capital balance as quickly as possible. The result is an 'unencumbered' asset to do with as you wish but most investors looking to maximise the difference between the monthly payments and the rental income will opt for an interest only type mortgage.
Equity release can offer a sensible solution for those over 55 who want to supplement their income in retirement, fund home improvements, or simply pay for the holiday of a lifetime for example.
A brief description of how it work is that you take out an interest-free loan which is paid off when the property is sold or on your death. Or you can choose to sell a proportion of your home in return for the money. The first type of equity release mortgage is known as a lifetime mortgage, while the second is called a reversion scheme.
One main advantage of this type of mortgage is that it can be used to cut the inheritance tax bill faced by your estate.
Commercial mortgages are usually taken out to buy a commercial property such as offices, pubs, retail outlets and factory space with a view to gaining from capital appreciation and/or rents. They can also be used by the professional property investor to fund and develop their buy to let residential property portfolio. The repayments on a commercial mortgage can also be fixed which is usually atttractive to most business as they can forecast their monthly expenditure well in advance.
For many years most individuals only dreamt of owning a property abroad but with growing equity combined with the introduction of more mortgage lenders willing to lend abroad and with more flight operators flying to more destinations has meant that this market is rapidly becoming an important part of the mortgage industry. The type of mortgage arranged and size of loan offered will depend on the country you are buying in, and whether the mortgage is secured against your property in the UK or on the property you are buying. We can also introduce you to many Real Estate and Developer contacts who can provide you with details of properties that are available to buy in countries ranging from America and the Caribbean to Spain and the continent.
Each of these mortgages require specialist professional advice and we recommend that you contact us on 020 8544 0555 to speak with one of our advisors or if you prefer, please complete the contact form on our website and we will get back to you very soon to discuss your requirements in more detail.
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